Hi All. about to get a new mortgage..
Have a choice between a base rate tracker or an offset mortgage.. I know each has it's own advantages.. but in my position which do you think would be best....?
OK... here's the situation
Mortgage of £244k
repayments on BOTH BRT and offset are about £1500 p/month.
We are planning to pay £2000 a month... so
a) either an overpayment of £500 a month on the BRT....
or
b) £500 a month into the savings account. (which is offset against the mortgage.
My mortgage advisor seems to be pushing me towards the offset route.. Im used to standard BRT/fixed rate.
Both methods push the term down from 25 years to about 15 years, by paying the extra £500.
We are 100% sure we would not be tempted to use the savings in the account to buy things.. (cars/holidays etc etc..)
Thanks for any advice... topgooner.